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In December, the price of Tallow Oil rose 2.8% and is expected to continue to rise into the first two weeks of January due to high energy prices and tight supply. The higher price for Tallow Oil reflects a decline in the number of available raw fat products as herd processing has decreased due to the Christmas holiday and increased expenses associated with compliance with EU Category 3 Animal By-product regulations for rendering facilities. Additionally, many biodiesel manufacturers acquired most of the Tallow Oil available to them at year's end and outbid soap and fatty-acid manufacturers for limited parcels of Tallow Oil. Demand from oleochemical producers remains steady while food-grade demand is primarily seasonal. There continues to be good export activity as cross-border purchasers from other EU countries are helping to create a stable market for Tallow Oil despite shortages in supply. Looking forward, Tallow Oil prices are expected to increase gradually through January, with support from restocking after the holiday season and ongoing tightness in key exporting regions, and stable logistics allowing exporters to continue to expand their price ranges incrementally.